No coal imports for NTPC again

In contrast, in 2014-15 the company had to import 16 million tonnes of coal because a large number of its power plants were reeling under dwindling coal stocks as the fossil fuel was in short supply.Debjoy Sengupta | ET Bureau | July 05, 2016, 06:53 IST

NTPC Simhadri Super thermal power plant \
(Photo Courtesy: commons.wikimedia.org)KOLKATA: NTPC, India’s largest power generator and coal consumer, will not import any coal this year for the second year running. It plans to source its entire requirement of 155 million tonne from home to run 40 GW of thermal capacity.

“We will take delivery of coal import orders placed during 2014-15. The volume of import will be far less than a million tonnes. Following this year, there is not likely to be consumption of imported coal,” said a senior NTPC official.

In contrast, in 2014-15 the company had to import 16 million tonnes of coal because a large number of its power plants were reeling under dwindling coal stocks as the fossil fuel was in short supply.

After 2014-15, the scenario changed as Coal India managed to clock near 10% production growth. Stock position changed from less than adequate to more than necessary and NTPC no longer required imports. “Whatever coal would be received at ports would be the final delivery of orders placed several months ago,” he said.

NTPC is looking to simplify its coal supply logistics now that it has government clearance to get its coal from sources that reduces cost. Cheapest coal would be sent to the most efficient plants so generation cost declines.

“Coal stock positions at both pit heads and power plants are full to brim, so much so that power companies are asking CIL to ease flow. Coal at power stations is good to generate power for 22 days at a stretch. It has forced CIL to go slow on production too. It is exposing coal seams and making it ready for production whenever required,” a senior official said.